The Electric Power Industry Reform Act (EPIRA) envisioned an Independent Market Operator for the Wholesale Electricity Spot Market (WESM). According to the EPIRA , an Independent Market Operator (IMO) should be established one (1) year after the implementation of the WESM. In 2006, the commercial operations of WESM in Luzon commenced. However, it was only in 2018, or twelve (12) years after the WESM implementation, when the Independent Electricity Market Operator of the Philippines (IEMOP) took over the operations of the WESM as the IMO.
While the establishment of the IMO is much overdue, IEMOP was able to accomplish significant feats in its three years of existence. Since 2018, IEMOP was able to successfully operate the WESM with a “very satisfactory” rating in the Market Operations Performance Standards (MOPS). It spearheaded crucial market developments such as the implementation of WESM in Mindanao and the Enhanced WESM Design and Operations which are expected to take off this year. With the leadership of the Department of Energy, IEMOP also actively contributes to the impending implementation of the Reserve Market this year. Moreover, as the Central Registration Body for the Retail Competition and Open Access (RCOA), it also facilitates the effective implementation of RCOA, conduct studies, and provide data-driven recommendations for its development.
IEMOP is also cognizant of existing issues in the energy industry, especially those that can possibly affect the nation’s development. Thus, IEMOP continuously coordinates and communicates with its stakeholders to address their concerns in the electricity market. To proactively participate in identifying long-term solutions to these issues, it conducts exhaustive studies with regard to Capacity Market, Derivatives Market, and Forwards Market. It has also strengthened its energy literacy campaign to provide awareness and relevant data to the public in accordance with its mandate of transparency.
These achievements would not be possible without the hard work of the men and women of IEMOP as well the fervent support of all energy industry participants. Thus, we, at IEMOP, would like to thank everyone who made our three (3) years of existence productive and meaningful. We are looking forward to achieving more milestones with you to create a more responsive and dynamic energy industry for the benefit of all Filipino consumers.
*As published in The Daily Tribune on 30 June 2021
